Exam 18: Introduction to Sales and Lease Contracts

Julia leases an apartment in Washington,D.C.for $2,200 per month.She buys a TV and a stereo system for $500.When she needs to visit her aunt in Virginia,Julia leases a car for the day for $65.Which of Julia's transactions is/are governed by Article 2A of the UCC?

Finest Coffee Company agrees to buy an unspecified quantity of coffee beans from Global AgriCorp.Global breaches the contract.Finest can most likely

Nature's Products,Inc.,sends its standard order form to Interbusiness Distribution Corporation (IDC) to evidence a sale of packing materials. IDC responds with its own standard purchase order form. Additional terms in the purchase order automatically become part of the contract unless

The rules governing firm offers apply to all merchants.

A course of performance is the conduct that occurs under the terms of a particular agreement.

Clean Machines Company makes washing machines.Over the phone,Clean offers to sell Dealers Appliance Outlet one hundred model EZ2000 washers at a price of $150 per unit.Clean says that it will keep the offer open for ninety days.Dealers responds that within two or three weeks it will decide whether to accept.One week later,Clean faxes,and Dealer receives,notice that the offer is withdrawn.Dealer immediately phones Clean to accept the $150-per-unit offer.When Clean refuses to deliver at that price,Dealer files a suit.Clean asserts,first,that there is no contract and,second,that if there is a contract,it is unenforceable.Discuss Clean's assertions.

If a nonmerchant-seller's offer expressly conditions acceptance on a nonmerchant-buyer's agreement to the terms of the offer,the buyer's positive response is an acceptance even if it contains additional terms.

Under the UCC,a contract for a sale of goods that includes more than one open term is void.

Generally,acceptance of an offer to lease goods may be made in any reasonable manner and by any reasonable means.

Timber Products,Inc.,and Walt,a consumer,enter into a contract for a sale of plywood.If the contract includes a clause that is perceived as grossly unfair to Walt,its enforcement may be challenged under the doc?trine of

A lessee is a party who acquires a right to the possession and use of goods under a lease.

Retail Music,Inc.,offers to buy from Super Products Corporation (SPC) 1,000 blank CDs of a certain brand.Without notifying Retail,SPC timely ships CDs of a different brand.This shipment is

A lessor is a party who transfers a right to the possession and use of goods under a lease.

At common law,if a contract is unilateral,an offeror must be notified of the offeree's performance.

Bild-Rite,Inc.,is a Colorado-based firm that does business with clients throughout North America.Bild-Rite oversees construction projects,and buys and sells commercial buildings,undeveloped land,and construction supplies and other goods.Bild-Rite has had to deal with work-site theft and vandalism.With respect to these circumstances,the Uniform Commercial Code (UCC) provides a framework for

A sale of "things attached to the land" is always considered a sale of goods.

Article 3 of the UCC governs contracts for sales of goods.

A contract for the sale of minerals is considered to be a contract for the sale of goods if the severance is to be made by the seller.

Equipment Rental Corporation and Floodlights,Inc.,are parties to an oral agreement for a lease of goods with payments in excess of $10,000.They may satisfy the Statute of Frauds by

Stocks are an example of property that is governed by the UCC Article 2.